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Gazprom sums up tender on Mozdok-Kazi-Magomed pipeline

Oil&Gas Materials 29 January 2009 16:26 (UTC +04:00)

Azerbaijan, Baku, Jan. 29 / Trend /

A tender by the Russian gas monopoly Gazprom to explore and analyze the Mozdok-Kazi-Magomed pipeline was declared invalid, the company's official Web site said.

The Gazprom Transgaz Makhachkala Competitive Commission ruled the tender invalid as only one application was submitted.

Late last year and early this year, Gazprom announced three tenders to explore the Mozdok-Kazi-Magomed pipeline and analyze and estimate its technical condition.

Gazprom Transgaz Makhachkala will finance the activities on the pipeline.

Azerbaijan seeks to extend the pipeline's capacity along its territory, Azerigaz head Alikhan Malikov said on Jan. 20.

"This is an idea. No official appeal on the issue has been made," Malikov added.

Earlier gas was transported via the pipeline from Russia to Azerbaijan. The pipeline's capacity is 10 billion cubic meters. Since 2007, Azerbaijan has not purchased gas from Russia.

In late December, Gazprom and SOCAR held talks to launch gas supplies from Azerbaijan to Russia.

Gazprom offered to buy the full export volume in the second phase of development of the Shah Deniz field, a SOCAR senior official said earlier. The amount of gas produced by SOCAR on its fields is currently being reviewed.

Possible gas supplies from Azerbaijan to Dagestan are also being considered. The next round of talks between SOCAR and Gazprom are scheduled for this month.

In 2009, SOCAR will produce roughly 8 billion cubic meters of gas from its own fields.

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